Time for #TeachingTuesdays. Thinking about selling your home and trying to save money by selling it yourself? THINK AGAIN! Say “NO!” to For Sale By Owner! For Sale By Owner (aka FSBO) is NOT the way to go. Here’s why:
1- FSBO sellers LOSE money. REALTORS® – like myself- are VERY experienced. We do real estate transactions every day of the week. We know the market like the back of our hands. We know recent sales, price of improvements/renos, and what your home should be listed at for a quick and successful sale. Oftentimes, sellers that try FSBO OVER PRICE because they don’t know the market. Homes over priced are a red flag for any buyer and rarely sell, but that’s a whole different blog post.
Sellers that try FSBO also UNDER PRICE. For example, I came across a FSBO in my market. It’s been for sale for over 80 days and it was listed at $235,000. After research, with my marketing plan I could easily sell it for $259,000. Y’all – that’s a 24 THOUSAND DOLLAR difference. Even after paying a full 6% commission, I would be putting an EXTRA $8,460 in their pocket from their FSBO list price…and it wouldn’t take 80+ days. And get this – For Sale By Owners typically end up paying a 3% buyer agent fee anyways – so I’m really earning them an EXTRA $15,510 from FSBO list price.
Most FSBO sellers are not professional negotiators. Selling your home is an emotional process and FSBO typically don’t handle emotions well when negotiating without experienced advice. FSBO sellers oftentimes don’t know what is typical for repairs or what an acceptable offer is. A REALTOR® negotiates every day and will help you get the most money for your property as possible.
2- FSBO sellers LOSE showings. You can’t sell a house without showings. FSBO sellers typically take photos with their phones and put it on 1 or 2 sites and install a for sale by owner sign. Unfortunately, that just doesn’t cut it. Not only do all of my listings go on MLS (Multiple Listing Service) – but they get distributed to literally thousands of websites. I also spend a lot of money on professional photography, videography, social media boosts, agent-to-agent email newsletters, and direct marketing. I have top of the line For Sale Posts with Instant Text Info. I know how to get people in the door for showings and open houses. The more showings you have, the more interest you have. The more interest you have, the more offers you have. The more offers you have, the more MONEY you have.
3- FSBO sellers LOSE time. Average Days on Market for a FSBO is significantly higher than Average Days on Market for a REALTOR®. Not only that, but selling your home is a very complex process. It takes a lot of time to market properties. It takes a lot of time to schedule showings and answer every buyer’s question. It takes a lot of time to host and market open houses. It takes a lot of time to network with other agents and inform them of your home. It takes a lot of time to schedule inspections and appraisals and negotiate contracts and repairs. It takes a lot of time to jump hurdles that come up during the transaction. There are so many behind the scenes things we handle that takes a lot of time.
4- FSBO sellers don’t always have access to the best professionals you need. Have a painter? Have a good appraiser to take exact measurements of your home and create a floor plan drawing for marketing materials? Do you know a good landscaper? Photographer? Videographer? Have a licensed contractor, plumber, and electrician that can handle some repairs from the inspection report? Have a great attorney that will represent you in the sale of your home? Do you know for a fact that these people will drop everything for you? My team of professionals are always ready to help with any of my listings.
5- FSBO sellers don’t typically know all laws. When selling real estate, there are several laws in place that tell you what you can and can’t do. There are also rules and regulations on things you MUST do. Do you know all material facts – or even what that is? Do you have the Residential Property Disclosure Form? The Mineral, Oil, Gas Disclosure Form? Do you need a Lead Based Paint Disclosure Form? Do you know how to complete these forms correctly? Agents are knowledgeable with these laws and will work through everything with you to ensure a lawful, legal sale to avoid potential law suits.
Did you change your mind? I can guarantee you – we are worth every penny! Just remember, next time you think about selling your home – Just say NO! to For Sale By Owner.
And say yes to Reel Realty 🙂